As per section 10.29(a) of Treasury Circular 230 a conflict of interest exists if – (i) representation of one party by the tax preparer will affect any other party adversely (ii) the tax preparer’s responsibility to another client will materially limit representation of one or more parties. However in case of conflict of interest a tax preparer can represent a party or a client provided that each affected client or party waives the conflict and gives and informed and written consent to the representation. Law requires the tax preparer to obtain the written consent within a reasonable period of time but it should be no longer than 30 days after the conflict has come to the knowledge of the tax preparer. Solution As per section 10.29(a) of Treasury Circular 230 a conflict of interest exists if – (i) representation of one party by the tax preparer will affect any other party adversely (ii) the tax preparer’s responsibility to another client will materially limit representation of one or more parties. However in case of conflict of interest a tax preparer can represent a party or a client provided that each affected client or party waives the conflict and gives and informed and written consent to the representation. Law requires the tax preparer to obtain the written consent within a reasonable period of time but it should be no longer than 30 days after the conflict has come to the knowledge of the tax preparer..